https://www.taxtmi.com/circulars?id=71289 Insolvency Professionals must examine potential misuse of insolvency proceedings for purposes unrelated to resolution or liquidation. Warning indicators include creditor dominance following a recent debt assignment, connected debtors with overlapping creditor committees, inadequate competition in resolution, unsupported disproportionate creditor realisations, fraud-related regulatory or enforcement links, and unjustified related-party transactions. Indicators are not conclusive and require a holistic assessment. Where reasonable grounds indicate a fraudulent or malicious purpose, the Insolvency Professional must apply to the Adjudicating Authority with the relevant indicators, material and reasons. en-us Wed, 09 Sep 2026 00:00:00 +0530 Sat, 12 Sep 2026 13:17:17 +0530 TaxTMI RSS Generator https://www.taxtmi.com/circulars?id=71289 Insolvency Professionals must examine potential misuse of insolvency proceedings for purposes unrelated to resolution or liquidation. Warning indicators include creditor dominance following a recent debt assignment, connected debtors with overlapping creditor committees, inadequate competition in resolution, unsupported disproportionate creditor realisations, fraud-related regulatory or enforcement links, and unjustified related-party transactions. Indicators are not conclusive and require a holistic assessment. Where reasonable grounds indicate a fraudulent or malicious purpose, the Insolvency Professional must apply to the Adjudicating Authority with the relevant indicators, material and reasons. Circulars IBC Wed, 09 Sep 2026 00:00:00 +0530 https://www.taxtmi.com/circulars?id=71289